Pantheon Resources PLC (AIM: PANR, OTCQX: PTHRF), the owner of two significant assets in Alaska’s renowned North Slope region known for hydrocarbon production, has reaffirmed its target to reach a final investment decision (FID) on its Ahpun property by the end of the following year.
This project is believed to contain an estimated 500 million barrels of 35-degree API oil, classified as ‘contingent’. Currently, contractors are engaged in preparing a revised resource estimate, expected to be released in the first half of this year.
The anticipated development cost for the project is around $120 million, which includes $60 million allocated for drilling the initial three wells. Pantheon is expected to provide an update on its efforts to secure the necessary investment within the coming weeks.
The Ahpun prospect, spanning 193,000 acres, is one of two key sites on the North Slope. The other, Kodiak, is estimated to have a 2C resource of 963 million barrels and is on track for an FID in 2028.
This information was shared in conjunction with the company’s six-month financial results ending December 31. During this period, Pantheon strengthened its position in Alaska by acquiring an additional 66,240 acres of leases.
The company also reported successful drilling activities, particularly at the Alkaid-2 wellbore, where testing of the shallower ‘topsets’ surpassed expectations and validated the improved frac design.
Chairman David Hobbs highlighted these engineering advancements as significantly beneficial for the economics of the Ahpun development, focusing on the topsets due to their higher reservoir quality and better gas oil ratio (GOR) compared to the deeper ZOI horizon previously tested.
Financially, Pantheon reported a loss of $5.7 million in the first half, reflecting its on-ground investments. As of March 15, the company had $8.7 million in cash reserves.
Pantheon’s decision to establish an office in Houston is a precursor to its planned US listing next year.
